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Online Gambling Survey Report
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Online Gambling Survey Report
Methods to detect fraud At the same time, improved authentication processes can go a long way towards discouraging
fraudsters from setting up multiple new accounts to engage in bonus abuse.
Now that we have a good understanding of where and how fraud is occurring in the industry
let’s take a look at how operators are attempting to detect and reduce fraud. With the additional layer of security that 3D Secure 2.0 is adding, more personal information
will be required by fraudsters in order for them to be able to abuse the bonus system. This
will not only make it harder for fraudsters to successfully set up new accounts, it will dissuade
customers from handing over the additional information required for the authentication
process for money. After all, no one wants to surrender too much of their personal data. As a
result, we’ll witness fewer instances of bonus abuse.
Which of the following methods
do you rely on/mainly use to
detect fraudulent transactions?
53% ID verification tools
50% Manual review
40% Multi-layered approach
40% Player betting history
37% Email risk/verification tools
30% 3D Secure
27% Device ID
Slightly fewer than one in three online gambling operators are ready for 3D Secure
At first glance, the results look clear: ID verification tools are in place. However, only just over
a third of operators are using email verification tools. This is troubling, since emails are the
gateways to digital identity and are rigorous data points when verifying a user’s authenticity.
Even worse, half of operators are still using costly and inaccurate manual review systems to
detect fraud.
Challenges in fraud management
What are the top three
challenges facing fraud
management in igaming?
54% Regulatory/rule changes
50% Customer friction/dropout
40% Gaps in fraud tools
40% Identifying emerging fraud
37% Managing omnichannel fraud
30% Updating fraud risk models
27% Lack of internal expertise
27% Lack of internal resources
Lastly, just under a third of respondents say they are already using 3D Secure technology.
This process was created to help establish more trust between customers and merchants,
not just helping to reassure users they are protected from account takeover and CNP fraud
but to safeguard gambling operators from bonus abuse. The fact so few operators are using
3D Secure could be a contributing factor in why the industry is rife with bonus abuse as well as
account takeover. Future changes to regulations are a key worry for online gambling operators
While operators are hesitant to add friction to the customer journey, it is important they
consider the benefits. In some ways 3D Secure will tell your customers that you trust them and
are looking out for them by offering another added layer of protection in case their account is
compromised. To us, this shows fraud solutions in the marketplace still aren’t delivering on solving the issues
around customer friction, aren’t adaptable when it comes to identifying fraud and do not
respond quickly enough to regulatory changes.
On top of selecting the right fraud solution, operators face a growing number of challenges
when trying to make all the pieces fit together. When asked, our trusted partners revealed that
the biggest challenges facing their businesses are customer friction/dropout (50%), being able
to identify emerging fraud attacks (40%) and regulatory changes (54%).